The results of the survey on inflation expectations from December 2023 conducted by the Central Bank of Bosnia and Herzegovina (CBBH) indicate positive expectations of inflation trends for 2024 and 2025, and it is believed that further decline in inflation will improve the economy in general.

The expected aggregated inflation for the current year is 5.8 percent, which implies a slight decline compared to 2023, when the participants, according to the September survey, predicted average inflation of 7.90 percent.

Inflation expectations in the first round for 2025 amount to 5.50 percent which leads to the conclusion that a further drop in inflation is expected, given that inflationary pressures in the past year were far above the multi-year average. It is evident, according to the CBBH, that inflation trends are influenced by internal and external factors, which results in differences in expected inflation, not only in the country itself but also between countries in general.

Inflation as a macroeconomic indicator continues to represent the basic determinant of decision-making by consumers, financial institutions, the state, and other participants in the macroeconomic system. In this regard, the CBBH, as an important segment of the communication strategy, regularly surveys inflationary expectations, to analyze and continuously monitor the inflationary expectations of economic entities. The survey participants are representatives of the financial sector, commercial banks, and insurance companies.